KARACHI: The State Bank of Pakistan (SBP) Monetary Policy Committee will convene on Tuesday, July 27, 2021, at the State bank of pakistan Karachi to decide on monetary policy, according to a statement.
Dr. Reza Baqir, Governor of the State Bank of Pakistan, will hold a press conference following the meeting, according to the statement.
In the meanwhile, financial market investors anticipate that the key policy rate will remain unchanged in the upcoming monetary policy announcement.
In a Topline Research poll, approximately 89% of participants forecast no change in the policy rate in July 2021, comparing to 73% in the previous poll.
However, it appears that approximately 7% of participants predict a 25 basis point hike in the policy rate, while 4% anticipate a 50 basis point increase.
This time, none of the participants expected a reduction in the policy rate, compared to 12% who expected one in the previous poll.
In all, 64% of participants anticipate a hike in the policy rate in 2021.
Approximately 51% of participants anticipate a 50 basis point hike in 2021, while 13% anticipate a 100 basis point increase throughout the year.
The majority of participants, or roughly 57%, predict the rupee/dollar to be between 160 and 165 by the end of 2021, while 37% expect it to be between 165 and 170.
The central bank maintained the policy rate at 7% in its most recent monetary policy statement on May 28, 2021.